Roper's Top 4 Recycling ROI Tips

Making the Case for Cash Automation

Why TCRs are one executive’s go-to solution

Craig Roper, senior vice president and chief deposit officer at Bank of Utah, is a two-decade banking veteran. He’s spent much of his career cracking the challenges of cash flow — finding ways to keep customers satisfied, keep branches safe and keep money moving smoothly. One of his go-to solutions? Teller cash recyclers.

Teller cash recyclers, or TCRs, are secure, under-counter vaults that accept, authenticate, store and dispense banknotes. By streamlining cash-in and cash-out functions, they free tellers to focus on cross-selling and customer service instead of counting. They also increase efficiency, reduce cash inventory, and improve branch security.

Roper observed the benefits of cash automation firsthand while working for regional and national banks. As part of an elite branch-improvement taskforce, Roper was deployed to troubled areas around the country. He and his team would observe in-branch processes for a week or more, searching out the inefficiencies that were slowing transaction times. Based on their findings, the team would build a plan of action for the region, then help local employees implement it. TCRs were often critical to success.

When Roper joined Bank of Utah, he was excited to introduce cash automation to the 13-branch community bank. He began in Ogden with the CM18, an advanced TCR from ARCA, a company that specializes in automation solutions for financial institutions.

Since installation in summer 2011, results and reactions in Ogden have been positive. Tellers are processing more transactions in a shorter time and customer wait times have decreased significantly. The branch no longer needs to dedicate a staff member to cash tending.

Roper reports that Ogden’s branch manager appreciates what the CM 18 has done for her bank. Tellers are less occupied with cash counting, she said, and she no longer worries about a line in the lobby.

Roper said the tellers have also come to appreciate the technology and adjusted quickly to the CM 18, thanks in part to its ergonomic design, intuitive interface, large banknote capacity and small footprint. While the tellers had questions at first, they were fully on-boarded in about three weeks. “They told me this was the best tool they’d ever had,” said Roper.

Ogden is not an anomaly, according to Roper. He believes TCRs will work for branches of all sizes and offered some advice for colleagues considering the move to automation.

• Know the patterns of your branches. What are the busiest periods during the day — and what’s causing the bottleneck? In Roper’s experience, banks are often bogged down by slow cash movement at peak times, and that’s a problem that can be solved through cash automation.
• Calculate the potential outcomes. Cash recycling can speed the average transaction 40%. How could that efficiency impact your bank? Would it allow you to reduce FTE? Determine how much time and money you stand to save, then decide whether TCRs make sense for you.
• Plan for the impact. Reducing teller FTE doesn’t have to mean eliminating jobs. Roper believes that many banks don’t focus enough attention on out-of-branch channels, like online services. If you’re able to reduce in-branch FTE with TCRs, you could consider moving some employees to online customer service work.
• Help tellers, branch managers and executives prepare for the change. While TCRs like the CM18 are intuitive and simple to use, tellers and other staff will need a few weeks to master the new system. Give your team plenty of training and time to adjust. Remember, you’re investing in future success. Most teams are working faster than ever within a few weeks.

Roper also urges banks to choose carefully when it comes to automation solution providers. For his bank, Roper chose ARCA because it works closely with clients to create and implement the features and functionality they need for their financial institutions.

“Having the manufacturer involved in the process is incredibly beneficial,” said Roper. “I’m at a community bank because I like the way we can personalize our approach to every customer. ARCA is the same kind of company. We get just what we need. The responsiveness has been remarkable.”

Abbie Kiefer is a freelance writer. She lives and works in Raleigh, North Carolina and may be contacted at
abbie@abbiekiefer.com

To learn more about the CM 18, visit www.arcatechsystems.com/financial. For more information on Bank of Utah, visit www.bankofutah.com.